Summary: Prevailing wages are the hourly rate and benefits that workers on federally funded or public works projects must be paid. A group of DC development site subcontractors were recently forced to pay over $633,000 to settle misclassification and prevailing wage violations with covered workers. Contact an attorney if you are facing wage and overtime violations and need legal help.
Prevailing wage laws apply to construction and other government-funded projects, including specific federal contracts. Recently, numerous DC development site subcontractors were ordered to pay $633,000 in backpay to 84 workers after violating existing prevailing wage laws and misclassifying employees.
If you are a prevailing wage worker and believe that your employer is denying you full wages and benefits, an attorney can help. A skilled wage and hour lawyer can manage any disputes or complaints involving wage compliance, while actively pursuing all compensation you are entitled to.
Why DC Development Site Subcontractors Were Ordered to Pay $633K
Recent investigations led to a recovery of over $633,000 in back wages for 84 workers who faced prevailing wage violations by numerous subcontractors at a development site in the District of Columbia. The development site was an affordable housing development funded by the District.
The investigations focused on six subcontractors involved in a residential project. These subcontractors engaged in numerous violations of the Davis-Bacon Act, which establishes federal prevailing wage requirements, as well as the Fair Labor Standards Act (FLSA). The violations perpetrated by these subcontractors included:
- Failing to pay prevailing wage rates
- Misclassifying employees as independent contractors
- Omitting workers from certified payroll records
- Falsifying certified payroll records
- Failing to pay required overtime premiums
- Failing to provide health and welfare fringe benefits
One financial recovery from a single Maryland-based subcontractor totaled over $292,000 in back wages for 14 employees. The owner also signed a consent agreement prohibiting the company from bidding on federally funded construction projects for three years.
Misclassification and Other Prevailing Wage Violations
Prevailing wage laws require employers responsible for public projects to compensate workers equivalent to the average wage paid to similar workers in that local area. Compliance with these minimum wage requirements is designed to ensure that workers on government-funded projects receive wages that align with the prevailing wage in that specific region.
Employers frequently try to overstep these laws, such as by:
- Paying eligible workers the wrong hourly wage rate
- Misclassifying workers
- Falsifying certified payroll records
Companies who engage in these practices can be subjected to both civil and criminal liability.
Workers affected by prevailing wage violations can file a claim for back pay. A successful recovery could include unpaid wages, liquidated (double) damages, and other compensation.
Contact a Prevailing Wage Attorney for Legal Help
You should consider hiring a prevailing wage attorney if you need legal assistance to ensure you are receiving the correct minimum wage based on other government-funded projects in your area. An attorney can interpret the regulations with a thorough understanding of how the law works and handle all aspects of presenting these kinds of cases.
Just like the DC development site subcontractors ordered to pay $633,000 in back wages, employers can and should be held accountable for prevailing wage violations and employee misclassification. We can help you hold an employer financially accountable for lost wages and benefits that you have sustained as a prevailing wage worker.
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